You have to define the connections of the terminal panel yourself. On the subVI, right click on the icon and select Show Connector. You'll see a terminal pattern that LabVIEW selects for you. If the pattern is not to your liking, right click on the terminal pattern and choose Patterns to select a different one. Once you've decided on a terminal pattern, move the mouse over the terminal pattern. It will change to the wire spool icon. Click first on one of the terminals and then on your control/indicator. There is also in the LabVIEW help, a section titled Assigning Terminals to Controls and Indicators tha tyou should also refer to.
